Technology stocks are the stocks of the companies that undertake research, development, and distribution of technological products and services. It includes stocks of semiconductor companies, software manufacturers, microchip companies, social media platforms, and more. The technology sector and tech stocks have been massive earnings generators for ages, and continue to do so.
However, the future of tech stocks can be considered to be a bit blurry at the moment. Analysts have indicated that tech stocks are highly overvalued and may be entering a massive bubble. Investors are rapidly investing in tech stocks, while the returns have started declining. Therefore, it is highly probable that the bubble might crash soon and lead to a sudden market downturn.
Ticker | Company Name | Last Price | 1-Year Return | Market Cap |
|---|---|---|---|---|
| GOOGL | Alphabet Inc. | $2,165.00 | -9.05% | 1425.4B |
| FB | Facebook, Inc. | $190.18 | -41.96% | 514.7B |
| ADBE | Adobe Inc. | $408.83 | -19.36% | 193.2B |
| CRM | salesforce.com, inc. | $161.33 | -29.76% | 160.3B |
| NVDA | NVIDIA Corporation | $178.79 | 13.88% | 447.6B |
| MU | Micron Technology, Inc. | $70.71 | -14.02% | 78.9B |
| AMAT | Applied Materials, Inc. | $113.99 | -16.73% | 100.7B |
| NOW | ServiceNow, Inc. | $455.61 | -6.14% | 91.3B |
| LRCX | Lam Research Corporation | $506.31 | -20.65% | 70.3B |
| TWTR | Twitter, Inc. | $39.06 | -32.48% | 29.8B |
| VEEV | Veeva Systems Inc. | $165.03 | -38.33% | 25.5B |
| MTCH | Match Group, Inc. | $77.30 | -46.56% | 22.1B |
| ANET | Arista Networks, Inc. | $103.77 | 22.63% | 32.0B |
| SWKS | Skyworks Solutions, Inc. | $104.48 | -38.12% | 16.8B |
| FTNT | Fortinet, Inc. | $292.33 | 35.52% | 46.9B |
| PAYC | Paycom Software, Inc. | $275.40 | -17.92% | 16.6B |
| GDDY | GoDaddy Inc. | $72.90 | -8.59% | 11.8B |
| ZBRA | Zebra Technologies Corporation | $329.68 | -34.24% | 17.3B |
| EPAM | EPAM Systems, Inc. | $317.40 | -33.58% | 18.1B |
| TYL | Tyler Technologies, Inc. | $350.48 | -13.48% | 14.5B |
| QRVO | Qorvo, Inc. | $108.31 | -39.65% | 11.5B |
| CGNX | Cognex Corporation | $46.37 | -40.44% | 8.1B |
| ON | ON Semiconductor Corporation | $58.37 | 49.67% | 25.4B |
| UI | Ubiquiti Inc. | $255.74 | -11.97% | 15.5B |
| IPGP | IPG Photonics Corporation | $99.65 | -51.89% | 5.2B |
| MPWR | Monolithic Power Systems, Inc. | $416.34 | 22.80% | 19.4B |
| ENTG | Entegris, Inc. | $107.15 | -5.49% | 14.6B |
| GRUB | Grubhub Inc. | #N/A | #N/A | #N/A |
| MKSI | MKS Instruments, Inc. | $119.77 | -35.73% | 6.7B |
| PCTY | Paylocity Holding Corporation | $171.72 | 1.14% | 9.5B |
| MRCY | Mercury Systems, Inc. | $57.77 | -11.48% | 3.3B |
| HQY | HealthEquity, Inc. | $62.40 | -22.01% | 5.3B |
| ANGI | ANGI Homeservices Inc. | $5.05 | -64.88% | 2.5B |
| COHR | Coherent, Inc. | $264.83 | 1.18% | 6.6B |
| APPF | AppFolio, Inc. | $104.78 | -22.01% | 3.7B |
| QLYS | Qualys, Inc. | $129.73 | 32.35% | 5.0B |
| ACIA | Acacia Communications, Inc. | $0.00 | #N/A | 85.6B |
| YELP | Yelp Inc. | $29.38 | -24.14% | 2.1B |
| ALRM | Alarm.com Holdings, Inc. | $64.11 | -21.11% | 3.2B |
| AEIS | Advanced Energy Industries, Inc. | $78.04 | -22.08% | 2.9B |
| SPSC | SPS Commerce, Inc. | $104.87 | 11.02% | 3.8B |
| FORM | FormFactor, Inc. | $40.90 | 17.77% | 3.2B |
| TTMI | TTM Technologies, Inc. | $14.08 | -7.12% | 1.4B |
| STMP | Stamps.com Inc. | $0.32 | -64.44% | 1.6M |
| XPER | Xperi Corporation | $16.53 | -21.10% | 1.7B |
| NANO | Nanometrics Incorporated | $37.50 | 43.13% | 115.2M |
| SGH | SMART Global Holdings, Inc. | $24.32 | 6.02% | 1.2B |
| GLUU | Glu Mobile Inc. | #N/A | #N/A | #N/A |
| SLP | Simulations Plus, Inc. | $47.43 | -9.28% | 958.4M |
| ACLS | Axcelis Technologies, Inc. | $59.88 | 47.38% | 2.0B |
| OPRX | OptimizeRx Corporation | $24.58 | -50.29% | 446.2M |
| IDEX | Ideanomics, Inc. | $0.59 | -79.66% | 291.0M |
| LUNA | Luna Innovations Incorporated | $5.82 | -42.77% | 190.3M |
| HCHC | HC2 Holdings, Inc. | #N/A | #N/A | #N/A |
| LIVE | Live Ventures Incorporated | $35.99 | -21.74% | 111.4M |
State of the Technology Industry
Technology is advancing fast. In recent years, we have seen the development of robotics and artificial intelligence, virtual reality, new battery technology, and more.
This is setting the stage for a new industrial revolution. But where will the best opportunities be in this era? Where can investors find the best tech stocks to buy now?
The best tech stocks in this industry right now are companies that focus on fast developing technologies. Robotics, artificial intelligence, and virtual reality have started rolling out to consumers very recently, or are about to, which means that finding best tech stocks in these industries may be a great way to prepare for the coming years.
In addition to focusing on fast-moving technologies, investors should look for best tech stocks companies with strong growth and business momentum. This provides a cushion against uncertainty as emerging technologies become more mature and best tech stocks reach the mass market.
When investing in tech stocks, it’s important to consider how the industry looks today and how it may look tomorrow. A balanced portfolio will include stocks of companies that are thriving in the current landscape as well as stocks poised to take advantage of growth sectors.
Some popular technology industries today include cloud computing, education technology, social media, mobile applications and wireless devices. These industries still have room for growth. Clear leaders include Facebook, Apple, and Google. These best tech stocks are doing very well right now, and investors may be able to find excellent entry points for these companies.
Of course, investors should maintain a balance of well-established companies and early stage startups that show potential for growth.
Factors to Consider Before Investing in Tech Stocks
Investors must be careful while investing in tech stocks. They have generated high earnings and income growth in the past; however, at the same time, they have also proved to be highly risky and caused major losses.
The most significant factor to consider is that tech stocks have a high beta. In bullish times, they outperform the stock indices rampantly, while they become highly volatile in the bearish scenarios. Thus, the risks of investing in tech stocks are equally high as the rewards.
It is also essential to keep in mind that the valuations of tech companies have experienced an unprecedented rise in the past couple of years. It indicates the overvaluation of tech stocks and the possibility of the formation of a destructive bubble.
Which Tech Stocks Should I Buy?
We have aggregated a list of tech stocks for you to choose from. The investment must be made considering the time horizon, risk appetite, and the performance of the specific companies.
Tech stocks have always proven to be excellent avenues for high returns on investment, yet the volatility and risk involved cannot be ignored. Some tech companies and their stocks turn out to be too new with unproven technologies and fail to survive competition, while others may be too old to satisfy the ever-evolving needs of consumers.
Therefore, investors must understand the relevance and survivability of a technology company before investing in its stock. The rapid dynamics of the technology sector and value creation must be followed to make the right selection.
